EAST LANSING — Michigan State University is raising tuition rates for business and engineering students to align those rates with increases previously approved for other undergraduates.
The MSU Board of Trustees Friday approved a proposal to increase tuition for undergraduate students in the Eli Broad College of Business and the College of Engineering by 3% in the 2022-23 academic year and another 3% in 2023-24
Trustees also approved a 3% tuition increase for graduate students, except for those in the College of Law and medical students.
The College of Business and College of Engineering tuition increases just approved were made to “ensure equity across the tuition increases,” according to Dan Olsen, MSU spokesperson.
In June 2021, the Board of Trustees approved 3% increases in 2022-23 and 2023-24 for most undergraduate students but did not include business and engineering undergraduates.
Including the increase, in-state students next year will pay $15,192 in tuition per two semesters, with out-of-state and international student tuition at about $41,778.
The most recent tuition increase was also approved in June of 2021 when trustees increased tuition 2% for all undergraduate students for the 2021-22 academic year that just ended.
Some undergraduate students, those from families that earn less than $75,000 annually, will not see increases in out-of-pocket tuition expenses because they will receive additional financial aid, Olsen said.
Inflation has taken a toll on the university, increasing expenses in numerous areas, according to MSU President Samuel Stanley Jr., which increases the need for tuition increases.
“Inflation cuts in both directions. The university is paying more for its goods and services, more for its housing,” Stanley said. “Hopefully wages for those families are keeping up with inflation more and I think we’re really trying to keep costs down overall.”
While increasing tuition, MSU is also working to increase its financial aid offerings. Included in the 2022-23 budget is $208 million in financial aid, an increase of about $11.9 million from last year, Olsen said.
MSU also wants to help students avoid taking on what Board of Trustees Chairperson Dianne Byrum called the worst debt — debt students take on without graduating — so MSU is including $8 million in its new budget to fund counseling and advising services for students.
“One of our strategic goals is student success,” Byrum said. “If you are admitted to Michigan State University, our commitment is you will graduate.”
The University of Michigan last week increased tuition 3.4% for in-state students and 3.9% for out of state students, while raising financial aid by 6.5% to offset the increase for student who can show a financial need. The increase raised average tuition cost for first-year, in-state students in Ann Arbor to $16,736 and for first-year, out-of-state students to $55,334.
Detroit Free Press reporter David Jesse contributed.